The Isle of Man, one of just three white-listed jurisdictions, has begun a two-month consultation period concerning proposed changes to its online gambling legislation.
A consultation document published by the Isle of Man Treasury this month states that the aim of the proposed Gambling Duties Bill, or GDB, is to "update and simplify" the existing legislation that deals with the administration of gambling duties and the tackling of illegal gambling activities.
Much of the existing Online Gambling Regulation Act 2001, or OGRA, would remain unchanged by GDB.
In its proposed form, however, GDB would annul Section 5 of OGRA, which deals with online gambling duty. In place of Section 5, GDB would introduce a duty of excise called "Gambling Duty," which would be charged on gross yield of gambling activities.
The consultation document also states that the proposed legislation would enable "effective and important exchange of information between those bodies in the Island involved in gambling" and the Treasury to share information with "off-Island agencies, to combat any possible criminality in or affecting the gambling industry." Examples of these off-island agencies could include the governing bodies of various sports.
"[Online gambling] operators in the island now have their markets throughout the world and a framework has developed to supply the essential software, financial and technological support it needs," a Treasury spokesman told Isle of Man Today, a national daily.
"Gambling is a potentially important source of revenue to the island in terms of licence fees and excise duties," the spokesman said.
I-gaming operators currently holding licenses in the Isle of Man include PokerStars, Paddy Power and Betinternet. Neteller, the payments provider, and Microgaming, the software provider, also have operations in the jurisdiction.
The consultation period ends on June 20, 2008 and it is hoped that a final version of GDB will begin its progress through the Crown dependency's parliament before the end of the year.
Click here to view the consultation document.